India is likely to place military drone orders worth more than $2 billion with domestic manufacturers this year. The order is India’s biggest procurement push in the sector as geopolitical tensions and evolving warfare accelerate demand for unmanned systems.

The planned purchases are in advanced stages and deliveries are expected over the next 18 to 24 months, president of Drone Federation India (DFI) Smit Shah told news agency Reuters. The scale of the procurement would represent a sharp jump from recent orders worth around $313 million for tactical-class drones, he added.

“In the next phase, tactical drone procurements in India may exceed $2 billion,” Shah added. DFI represents more than 550 drone and component companies and works closely with policymakers and defence agencies.

Shah said the upcoming orders are likely to be processed through a fast-track procurement mechanism aimed at meeting urgent operational requirements. Under this route, companies may be required to deliver systems within two years.

Military drones in focus

India’s growing focus on military drones follows heightened security concerns after Operation Sindoor in May last year, when both countries deployed unmanned aerial vehicles extensively for the first time. The conflict highlighted the offensive and surveillance capabilities of relatively low-cost drones in modern warfare.

The wars in Ukraine and West Asia have further reshaped military thinking worldwide, demonstrating how drones can alter battlefield tactics while reducing operational costs.

According to Reuters, India’s defence ministry approved acquisitions worth around $24.85 billion, including transport aircraft, missile systems and remotely piloted strike aircraft, though it did not specify the spending allocation for armed drones.

“Drones are force multipliers on the modern battlefield,” Ramesh Chandra Padhi, an executive at IG Defence, told Reuters. Padhi, a former senior Army officer, said the Indian military was increasingly relying on emergency procurement mechanisms to accelerate large-scale induction of drone systems.

Domestic drone production

India’s drone ecosystem has expanded rapidly over the past few years. There are now more than 600 companies manufacturing drones and related components in the country, with over 100 firms focused on defence applications, Reuters report stated.

The sector includes large industrial groups such as Adani Group, Larsen & Toubro and Tata Advanced Systems, alongside startups such as ideaForge, Newspace Research and Asteria Aerospace.

These firms are developing reconnaissance drones, loitering munitions, logistics drones, precision-strike platforms and critical components for military applications.